Brandes backs BE shareholders

SECRETIVE US fund manager Brandes has thrown its weight behind shareholders battling for a better deal in the restructuring of British Energy.

Brandes, which owns 6.9% of the ailing nuclear generator, is backing activist investor Polygon, with 5.6% of BE, in its calls for a better deal for the firm's 230,000 shareholders.

The pair are calling for an egm at which a new restructuring plan will be proposed, giving investors more than 30% of the shares against the 2.5% currently being offered.

Together they will table a number of motions to stop BE from being prematurely delisted and to create a company-funded committee of shareholders. However, British Energy had last night yet to receive any formal correspondence from either Polygon or Brandes.

US fund manager Brian Stark holds 7%, but has not raised his hand either way, while 10.1% holder Invesco earlier came out on the side of Polygon.

The government's £5bn bail-out of British Energy is subject to approval from the European Commission, expected some time after the last week of September.